Punjab National Bank has slipped 3% to Rs 759, falling 5% from day’s high, after reporting a single digit 9% year-on-year (y-o-y) growth in net interest income (NII) at Rs 3,310 crore for the quarter ended March 2012. Analyst expected NII of about Rs 3,510 crore from the second largest state-run lender.
The gross non-performance assets (NPAs) as a proportion of advances went up to 2.93% from 1.79% a year ago. In absolute terms, the gross NPA stood at Rs 8,720 crore compared to Rs 4,379 crore in the same quarter previous year. Net NPAs also increased to 1.52% of at the advances to Rs 4,454 crore.
However, net profit increased by 19% at Rs 1,424 crore on y-o-y basis, due to lower employee cost and tax outgo.
Meanwhile, the board of directors of the public-sector bank have recommended a dividend of Rs 22/- (i.e. 220%) per equity share of Rs 10/- each for the FY11-12.
As many as a combined 1.32 million shares have already changed hands on the counter so far, against an average sub 0.50 million shares that were trading daily in past two weeks on both the exchanges.